Bill plays politics

June 2, 2013

Why does a sporting goods store owner in Michigan have to charge his customers sales tax? Because that store owner and his employees are benefitting from the services the state and local municipality are providing to that store owner. Services like roads and law enforcement.

So, why would a woman in Michigan, who purchased a pair of shoes from a mail order house in Nebraska, have to pay Michigan sales tax to Michigan? What services did Michigan provide to that online seller whose warehouse and distribution center are located in Nebraska? The answer is none, whatsoever.

This is why legislation to force online sellers with no physical presence in Michigan to collect and then remit sales tax to the State Department of Treasury is wrong. But this is only one of a hatful for reasons why the so-called "Main Street Fairness Act" is bad for consumers and bad for Michigan. Here are some others: